The U.S. Senate today defeated a motion to waive a budget point of order against the banker’s Transaction Account Guarantee (TAG) extension bill (S.3637) by a 50-42 vote. The measure required a 3/5ths majority, or 60 votes to pass. The effect of this motion’s defeat is that the bill has died.

CUNA has been very actively opposing this legislation, and its defeat represents a significant setback for the community banking lobby, which has been advocating for an extension of this TARP-era bailout program. This outcome would not be possible without the combined efforts of Leagues, credit unions, and key members of our small business coalition.

CUNA and the NJCUL will remain on guard for the possibility that the bankers will try to get the TAG bill inserted into end-of-year legislation. Based on CUNA’s conversations with House and Senate leadership, it appears unlikely they will be successful. While today’s vote helps in that regard, it’s not over until it is over. Congress will be in session for at least another week and a half, and CUNA is going to closely monitor the development of all end-of-year bills to ensure this provision does not get included without similar treatment for MBL reform.

Those who helped by responding to our special Calls-to-Action played an important role in today’s victory for credit unions and their help is greatly appreciated.